Tallinn Administrative Court has released the reasoning of the dismissal of AS Tallinna Vesi’s complaints


On 05.06.2015, Tallinn Administrative Court decided to dismiss the complaints filed by AS Tallinna Vesi on 01.06.2011 and 09.11.2011, in relation to the tariff dispute between AS Tallinna Vesi and the Competition Authority. On 12.10.2015, AS Tallinna Vesi received the reasoning behind the Court ruling.

In 2012, Tallinn Circuit Court confirmed that the tariffs part of the Services Agreement entered into in 2001 is a public law contract. In its reasoning, published on 12.10, the Tallinn Administrative Court formed an opinion that the tariffs part of the Services Agreement, as a public law contract, is not binding on the Competition Authority. AS Tallinna Vesi deems the opinion formed by the Court to be unfounded.

The Company has stated previously that it intends to appeal the ruling of the Court of first instance to Tallinn Circuit Court. AS Tallinna Vesi has already given formal notice of its intent to appeal and the Company now has 30 calendar days to prepare and file the appeal.

The intention to appeal the Tallinn Administrative Court ruling of 05.06.2015 means that the dispute has not reached the final verdict.Until the final verdict of the tariff dispute between AS Tallinna Vesi and the Competition Authority, the preliminary legal protection applied by Estonian Courts against the CA’s prescription for decreasing the tariffs, remains in force. The claim for damages submitted by the Company against the CA, has also been suspended until the final verdict has been heard. AS Tallinna Vesi submitted this claim on the 02.05.2014, to avoid the expiry of the monetary claim.

International Arbitration Proceedings are being held in parallel and separately from local Court dispute, with the final hearing set for November 2016. Please see the link for further details here.